The non-bank lender's second-quarter earnings fell 41% year-on-year to RM71.2mil.
PETALING JAYA: Aeon Credit Service (M) Bhd
has declared a single-tier dividend of 14.25 sen payable on Nov 7.
This comes despite the non-bank lender posting a fall in earnings of 41% year-on-year (y-o-y) to RM71.2mil or earnings per share of 13.94 sen for the second quarter ended Aug 31, 2024 (2Q25).
This is despite revenue increasing by 15% y-o-y to RM541.4mil on stronger loan and financing growth.
The fall in profit was due to an increase in the ratio of operating expenses, higher impairment losses on financing receivables and a rise in interest expense for the current quarter due to higher borrowings, in line with the receivables growth.
In a filing with Bursa Malaysia, AEON Credit said the total transaction and financing volume in the current quarter of RM2.2bil was higher by 20.6% as compared to the preceding year’s corresponding quarter.
Meanwhile, the group’s gross financing receivables as at Aug 31, 2024 of RM13.2bil was higher by RM1.63bil as compared to Aug 31 last year.
